Colleges and Skills: Covid-19

Debate between Clive Betts and Gill Furniss

Tuesday 20th October 2020 Westminster Hall

[Gill Furniss]

I do love a fairy tale, but I will touch on that later on.

It would be remiss of me not to mention the impact that the previous 10 years have had on the sector’s finances. The brutal cuts to the further education sector have been felt most harshly by adult learners. In real terms, 35% of adult education funding has been cut since 2013. Over the same period, funding for those aged 16 to 19 has fallen by 7%. Those cuts have meant that fewer adults can learn core skills such as literacy and maths to be able to meet many jobs’ English and maths requirements.

The National Audit Office has said the FE sector’s financial health is fragile, warning that core funding has fallen significantly. The Government have had to intervene in half of colleges to prevent or address financial difficulty. There are too many examples where schools have received further funding while colleges have been ignored. I have spoken to staff at my local college and the morale among both teaching and support staff, who are now being asked to do more, is incredibly low. To add to that low morale and the sense of being ignored, when the Education Secretary announced a pay rise for schoolteachers, he made no such announcement for further education lecturers. The gap in pay between schoolteachers and FE lecturers now stands at just over £9,000 a year.

That background meant many of us were already deeply concerned about FE funding. Then the coronavirus pandemic highlighted more clearly than ever before the truly devastating consequence of widespread cuts. After a decade of cuts, I want to be able to welcome wholeheartedly the Prime Minister’s announcement of the lifetime skills guarantee. However, I fear that it is too little, too late and too slow.

We are facing an unprecedented crisis. Levels of unemployment have risen sharply while earnings have fallen across many sectors as a result of the economic impact of covid-19. In my constituency of Sheffield, Brightside and Hillsborough, the number of people claiming unemployment-related benefits has almost doubled since March, accounting for 9.5% of the working-age population. Colleges cannot wait for the funding to trickle through over the course of this Parliament; action must be taken to address the challenges they face now.

In our recovery, we have the opportunity to bridge the skills gap in a way we never have before. However, I feel that the Government are not being that ambitious. The introduction of the job support scheme at the start of next month will see many workers on reduced hours. I believe that the Government should integrate training into the scheme and allow workers to improve their skills. I am also concerned that the lifetime skills guarantee appears to offer little to those who have a level 3 qualification or above. People with qualifications of all levels have felt the impact of covid-19 and, sadly, many with a level 3 qualification or above will lose their jobs. Therefore, people with qualifications of all levels who will face unemployment should be able to access college courses and reskill should they need and want to do so.

The crisis in social care is an example of where cuts to colleges have had a wider impact. Since 2010, qualifications for health and social care have fallen by 68%. Year after year, we have been promised reform in social care. Instead, we have seen a consistent failure to boost the number of workers in social care or implement any long-term plan. There can be no doubt that after the events of this year the need for an effective social care system is paramount. Colleges can and should play a leading role in training future health and social care workers, and they should receive full Government support to bring the level of qualifications back to their previous levels, at the very least.

With the further education White Paper and spending review on the horizon, I urge the Minister to take the points raised in this debate and the strength of feeling in which they are made back to the Chancellor to urge him to fund our further education sector properly. I wait apprehensively for any announcement and hope that the finances needed to upskill our workforce will be provided. In the meantime, Labour will continue the fight for more funding for further education, and I will continue to proudly back the Love Our Colleges campaign.

[Mr Clive Betts (in the Chair)]

We will have to reduce the time limit to four minutes. I may have to take it down further, now that other Members have arrived. I call Robert Halfon, Chair of the Education Committee.

Steel Industry

Debate between Clive Betts and Gill Furniss

Thursday 3rd November 2016 Westminster Hall

[Gill Furniss]

I thank my hon. Friend for that point. Thirdly, I want to give credit where credit is due and thank the Government for the guidance published in October last year, which has put some emphasis on supporting British steel in major procurement projects. However, despite the good intentions behind that move, we are still seeing major contracts going to foreign steel manufacturers, most famously the new Trident submarines, which are being built with French steel. Had a British firm been engaged to supply the steel, more than 1,000 jobs would have been supported, but alas, that is not the case. Will the Minister commit to ending the exemption from the guidance of tenders funded through contracts for difference? Will he look at strengthening the guidance better to reflect the social and economic consequences of current procurement decisions? Will he follow the examples set by the Scottish and Welsh Governments and publish future pipelines of projects so that British steel manufacturers can prepare themselves to fulfil future demand?

Fourthly, there is the issue of trade defence mechanisms and Chinese dumping. Whatever else Brexit may mean, it is absolutely vital for the industry that we avoid any sort of punitive restrictions on access to the European market. Last year, more than two thirds of our steel exports went to EU countries and our own steel industry is closely bound up with the Dutch plant at IJmuiden. Our trade defence mechanisms depend so much on what the final Brexit deal looks like, but whether or not we find ourselves bound by the rules of the single market, it is critical that the UK stands up for fair trade globally. While we still have a voice in the European Commission, we should be throwing our weight behind the scrapping of the lesser duty rule, which is hamstringing all efforts to counteract Chinese dumping, and opposing China’s application for market economy status, which will kill those efforts stone dead. Free trade does not mean fair trade and until the Government wake up to that reality, the steel industry will never have the level playing field it is asking for.

On the industrial strategy, the difficulties that the steel industry has with energy prices, business rates, procurement problems and unfair global trading practices are all issues that the Government need to address immediately. There are swords dangling over the industry’s head, but if British steel is going to not just survive but thrive, it needs a proper long-term industrial strategy to put it on the right track for the future. I am glad that the Department for Business, Energy and Industrial Strategy has commissioned research into the future capacity and capability of the steel industry. I and no doubt all of us here are looking forward to its findings next year.

Every job in steel supports three in the supply chain and the industry really is the cutting edge of UK manufacturing. Most of the types of steel being produced were not even in existence 15 years ago. Steel will play a central role in our transition to a low carbon economy if we manage it correctly and it can continue to lead the world in terms of quality and innovation. Will the Minister reassure us that BEIS will put steel at the heart of its industrial strategy?

Steel is not a dying industry. It is not a relic of a bygone era. It may be a proud part of our industrial past, but it also has the potential to be a dynamic part of our economic future. Without it, we will not only have lost an industry—make no mistake—we will have lost our entire manufacturing base. No one is asking for special treatment; we are asking for a level playing field that will allow the industry to move forward with confidence. Four months on since we last debated this issue, the steel industry is still in crisis. I urge the Minister to show more energy than his predecessors and do what it takes to save our steel.

[Mr Clive Betts (in the Chair)]

If the Minister would just allow a few minutes at the end for the wind-up speech, that would be appreciated.